Insight

In Death of a Salesman, Willie Lohman tells his son that if he's in a job interview at a company and drops a pencil, not to bend over and pick it up, because there are office boys for that. His observation reflects the sad, misguided notions of a failing salesman, but in a bizarre way it also underscores the comforts of working in an office.

Few have given more thought to the running of a planning practice than Mark Tibergien, who's had a long career as a consultant and observer of the advisory profession. The recipient of numerous "most influential people in the financial services industry" awards, he has also been a columnist for Investment Advisor magazine for many years.

Spencer McGowan, president and founder of Dallas-based McGowanGroup Asset Management, Inc., considers his recently adopted hybrid business model  that permits wealth managers to operate as fiduciary investment advisors and commission-charging brokers  as the best of both worlds, for his firm and for his clients.

Having logged 15 successful years at one of the largest wirehouse broker-dealers in the country, Dave Patritti figured he'd never work anywhere else  until the financial crisis hit and the firm’s family atmosphere began to change.

Napoleon Bonaparte is famous for declaring, "Nothing is more difficult, and therefore more precious, than to be able to decide." While one of the world’s most successful general’s observation likely referred to a battle plan, his words offer valuable perspective to anyone making a major life decision.

Changing firms is never an easy undertaking. It requires serious research and due diligence. So much so, that you'd think every person who makes a change would know exactly what he was getting in to. Alas, this isn't always the case. Here are stories about brokers who switched firms, and some tips on how they could have done it right.

Why switch firms late in the game? There are plenty of reasons to stay put until retirement: deferred compensation, familiarity with the system at your current firm, the aggravation and complexity of moving, the risk of losing clients in a move, and of course, simple inertia. But sometimes, the very upheaval caused by switching firms can reinvigorate a career. At least that's what some branch managers and recruiters say.

When you begin to think about going independent you will have many questions. Key among them will be how much of your assets under management (AUM) is likely to come over with you. We have heard from advisors that about 80% of their assets follow them to their new firm. However there are many issues to consider before you go independent.

Deciding to go independent, by joining a registered broker-dealer or starting your own firm, is a weighty decision. The factors that have helped someone be successful in a large organization oftentimes do not translate into the skills needed to run an independent business.

Leaving a wirehouse? Establishing a new registered investment advisory (RIA) firm? Joining an independent broker-dealer? Of course you are going to think about things like compliance, operational issues, finding an office, and transferring accounts, but you may not have thought about the importance-the critical importance-of communicating clearly with your clients through every step of the process.